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China's Packaging Machinery Market Research Report - PMMI

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11. SALES, DISTRIBUTION, AND TERMS OF PAYMENT<br />

11.1 Sales and Distribution<br />

11.1.1 Domestic Suppliers<br />

(1) Direct Sales<br />

Usually domestic manufacturers adopt direct sales, i.e. the sales people promote the<br />

sale face-to-face to the users; offices of the manufacturers are also set up in major<br />

cities such as Beijing, Shanghai, and Guangzhou to explore local markets and<br />

managing after -sale service. Alternatively, manufacturers advertise their products in<br />

specialized newspapers and magazines.<br />

(2) Cooperatio n with other enterprises in the same trade<br />

The manufacturers of some minor parts of packaging equipment tend to integrate<br />

their product with parts manufactured by other manufacturers to provide the<br />

customers with a complete assembly line.<br />

(3) Agency<br />

The same manufacturers as mentioned in point ii adopt sales agency to expand sales<br />

opportunities.<br />

(4) Exhibition<br />

Domestic enterprises of substantial economic strength will attend various expos both<br />

for advertising to promote sale s and for obtaining information about their<br />

counterparts at home and abroad.<br />

(5) Government Purchases<br />

The government purchases packaging machinery for its own use in government run<br />

companies. Government purchases account for a certain percentage in gove rnment<br />

funded projects in an attempt to help the domestic enterprises purchase their<br />

machinery.<br />

55

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